As we move beyond simple digitization of information to digital business models, technologies such as mobile, social, cloud, and advanced analytics are creating ubiquitous and information-rich systems of engagement, overturning old business models and driving leaders to new levels of efficiency.
The pace of digital disruption is daunting, however, and many firms struggle to understand the impact of emerging technology on their business and which opportunities they should pay attention to now.
Creating a shared enterprise technology vision that leverages emerging technology is a daunting task.
In fact, leaders in charge of IT strategy, planning, or innovation often admit that it’s easy for emerging technology to catch them off guard.
It's a scenario that’s become all too common thanks to today’s emerging technology’s ability to unlock explosions in business evolution that are completely digital and chaotic.
For example, smartphones had been around for years before Apple’s introduction of the iPhone and the Apple App Store totally changed how employees started using personal productivity tools in the workplace.
As a result, CEOs understand that we are in a disruptive period unlike any seen before, which is why they regard technology as the biggest single external factor affecting their company.
The Disruption Game Has Changed
To effectively contribute to digital transformation, it’s important that IT leaders intuitively grasp the nature of today’s disruption.
Past disruption followed a classic pattern: Innovators create a new product or service at a dramatically lower price that competes with existing feature-rich and expensive ones.
Eventually, buyers abandon the leading products for cheaper upstarts that offer most of the features they want. Today is different because of the pace of digital business change. Digital disruptions:
- Happen in the blink of an eye:
The digitization of information leads to business model changes that create new market winners and losers.